Electronics Pitch To Go Crazy Again In New York

June 20, 2001|By Juliann Walsh Bloomberg News

New York — Those too young to remember Crazy Eddie, the electronics chain whose ads featured a pitchman touting prices so low they're "insane," take heart: The ads are about to fill the airwaves in the New York area again.

After a 12-year hiatus following the bankruptcy of the chain, Jerry Carroll will reprise the role that made him a familiar presence in the 1970s and '80s, when TV and radio spots showed him in an electronics store ranting that the company was practically giving away products.

Crazy Eddie was bought out of bankruptcy in March after two failed attempts by members of founder Eddie Antar's family to resurrect the discount electronics chain. Antar was charged in 1989 with defrauding investors and fled the United States before serving six years in jail for racketeering and securities fraud.

Carroll, who says he's older than Pat Benatar and younger than Keith Richards, has made 14 commercials so far for the multimillion dollar television and radio advertising campaign beginning in late July, far fewer than the 2,500 television and 5,000 radio commercials taped between 1972 and 1989.

"He looks crazier than ever," said Chief Executive Dave Jones, who sat in on taping of the commercials two weeks ago. "If you remember the old ones, you won't be disappointed."

The advertisements were a staple in the New York viewing area and often showed the former radio disc jockey wearing a Santa hat and shaking a Christmas tree while screaming about summer bargains.

That ended when the company filed for bankruptcy and closed its 43 retail stores. Antar fled to Israel for about two years before serving his jail sentence.

Now he's back with the Rahway, N.J.-based company that bears his name. He's working as director of marketing and strategic relationships.

"Eddie and I remained in touch through his dark years," Carroll said. "When he started to think about reconstructing Crazy Eddie, he called me." Carroll said Antar felt his participation was needed in order for the venture to be a success.

A new closely held Crazy Eddie in March bought the rights to the name, trademarks, copyrights, logos and operations from closely held DJR Holdings LLC and the company started selling home electronics over the Internet and through a toll-free telephone number. President and Chief Operating Officer Ted Vagelos said the company doesn't expect to open any stores.

"It's going to be very difficult for them," said Alan Rifkin, an analyst at Lehman Brothers who covers retail stores such as Best Buy Co. and Circuit City Group. "The consumer electronics sector has a lot more formidable competition today that it did then. And, there are going to be credibility issues with them."

Kurt Barnard, president of Barnard's Retail Trend Report, which forecasts retail and consumer spending, doesn't think the notoriety is going to work in their favor.

"If I'm going to place an order from someone I do not see, I have to have a lot of confidence that I will be treated with all of the respect that my money deserves," Barnard said. "Can I expect that from a jailbird?"